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ESSEC Business School, Management Department, Avenue Bernard Hirsch, B.P. 105, 95021 Cergy-Pontoise Cedex, France
Henley Business School, University of Reading, Reading RG6 6UD, UK
c
Faculty of Business Studies, University of Vaasa, Finland
b
A R T I C L E I N F O
Article history:
Available online 19 December 2013
Keywords:
Talent management
Expatriation
Career capital
Development
A B S T R A C T
This paper argues that talent management and expatriation are two signicantly overlapping but
separate areas of research and that bringing the two together has signicant and useful implications for
both research and practice. We offer indications of how this bringing together might work, in particular
developing the different results that will come from narrower and broader concepts of talent
management. Our framework denes global talent management as a combination of high-potential
development and global careers development. The goal of the paper is to lay the foundations for future
research while encouraging organizations to manage expatriation strategically in a talent-management
perspective.
2013 Elsevier Inc. All rights reserved.
* Corresponding author.
E-mail addresses: cerdin@essec.fr (J.-L. Cerdin),
c.j.brewster@henley.reading.ac.uk (C. Brewster).
1090-9516/$ see front matter 2013 Elsevier Inc. All rights reserved.
http://dx.doi.org/10.1016/j.jwb.2013.11.008
246
Hocking, Brown, & Harzing, 2004) still holds: they use it (1) to
provide skills in a market where they are hard to nd, (2) to
develop the organization through control and coordination, and (3)
to create learning amongst expatriates that will benet the rm.
For the rst goal, the organizations immediate priority is to ll
positions, which leaves little to no room for consideration of
individuals careers; the second goal may be about imposing
central control, with the same effects, or about developing coordination through global mindsets in the organization, which may
involve changing minds at headquarters as well as in the
subsidiaries, and would be include career considerations; and
for the third goal, the development of individual careers is the
focus (Cerdin, 2008). We draw a distinction that is not usual in the
literature, but we believe to be common in practice, between
control and co-ordination. The two objectives may be equally
strategic in their impact upon the expatriate and the organization.
Controlling roles are much less likely to have a talent-management
aspect than are co-ordination roles. Hence, for the latter, as for
those (rare) expatriation roles that are explicitly designated as
developmental, talent management is a key focus, as the
organization is mindful of the development of the individuals
skill set, and of the capabilities of those they interact with a point
we will return to.
The segmentation approach to strategic talent management
focuses on those who are included in the organizations
pivotal talent pool and who occupy, or are being developed to
occupy, pivotal talent positions (Collings & Mellahi, 2009: p.
306). Expatriates may well belong to this group. The role
expatriates, particularly managerial expatriates, play in knowledge transfer (Bonache & Brewster, 2001) or in diffusing
managerial practices from headquarters to subsidiaries and
vice versa underlines their importance as amongst the key
employees who are the object of segmentation talent management (Bjorkman, Barner-Rasmussen, & Li, 2004; Cerdin, 2003;
Kamoche, 1997).
This approach to talent management combines a strategic use
of expatriates with a strong focus on talent management, the aim
being to develop individuals for further responsibilities within the
organization. In that sense, talent management is synonymous
with the traditional high-potential approach. Organizations
identify individuals who they expect, in the long term, to be able
to occupy top-management positions (CIPD, 2009). It is wellknown that major multinational corporations (MNCs) such as
Colgate Palmolive and Philips, for example, restrict their senior
positions to employees who have worked in more than one
country. International experience is a prerequisite to get promoted
above a certain level within those organizations. High-potentials
are assigned to international positions so that they may develop
new skills, but it is also a way to test their abilities as tomorrows
top managers. In this sense, the high potentials as expatriates are
critical for the organizations current goals as well as for its longterm objectives. The segmentation perspective on talent seems
prevalent in the literature (Swailes, 2013). This talent segmentation perspective is consistent with Paretos law of the vital few,
which, in this case, suggests that about 80% of an organizations
value adding derives from about 20% of its employees (Swailes,
2013: p. 32).
The segmentation approach to talent management addresses
not only top positions, but also key positions. Collings and Mellahi
(2009: p. 305) suggest that talent management aims to identify key
positions that differentially contribute to the organizations
sustainable competitive advantage. The relationship between
the talent segmentation view involved in some expatriation
assignments and the segmentation view of talent management is
apparent in international developmental assignments, but goes
beyond that.
Strategic
Develop Individuals
Expatriate
assignment
purposes
Control
Coordination
Fill Positions
Short-term
Low
Talent Management
High
Brewster, 2009; Hippler, 2006; Stahl & Caligiuri, 2005; Thomas &
Lazarova, 2006). The weakness in this line of research is its failure
to establish an evidential link between expatriate adjustment and
rm performance see, for example, Gong (2003) versus Colakoglu
and Caligiuri (2008) and Gaur, Delios and Singh (2007). Much less
attention has been paid to the developmental results of the
assignment (though see the use of the career capital concept noted
below).
Repatriation management remains an organizational weakness in international mobility (Kraimer, Shaffer, & Bolino, 2009;
Lazarova & Cerdin, 2007; Shaffer et al., 2012). Although the
expatriation is nearly always a success for those individuals who
went abroad, they often leave the company upon return (Suutari &
Brewster, 2003). Given the investment that the organization has
made in their development and the fact that they are likely to nd
work with competitors, this is hardly an example of good talent
management. Short-term approaches to repatriation, devoid of
strategic management, result in repatriation not being managed
effectively (Farndale, Scullion, & Sparrow, 2010). On the other
hand, repatriation is more likely to be a success for those
individuals who were sent abroad with the explicit goal of
developing their skills as key employees within the assigning
organization (Cerdin, 2008; Suutari, Riusala, Brewster, & Syrjakari, 2013). Because their expatriation was perceived from the
outset as yet another stage in their overall career development,
within a broader logic of human resource management, the
chance of expatriate management leading to satisfactory results
for both the organization and the employee is higher. Expatriation
management should not be seen as separate from the overall HRM
policy.
3. A global HRM approach to expatriation and talent
management
A conception of talent management as broader than the
segmentation approach locates it within a global HRM strategy and
may well include expatriation within it. Here, expatriation is seen
as an invaluable developmental experience offered to employees
being assigned abroad, rather than restricted to just the declared
developmental assignments, and is seen as an additional weapon
in the armory of talent-management specialists. On occasion
business requirements may demand short-term or ad hoc
responses to crises, with expatriate management being limited
to the administrative aspects, such as legal contracts and
preparation of the expatriation package. Under a talent-management philosophy, the developmental experience of expatriation
and its long-term impact on the individual and the organization
come to be seen as its crux. If strategic human resource
management is dened as the art of taking effective decisions
about the management of people (Cascio & Boudreau, 2012) then
such decisions about talent management and expatriation fall
neatly under the Global HRM approach to expatriation and talent.
This talent-management concept of expatriation involves it
being thought about and implemented as an element of an overall
global approach to HRM. Here, individuals careers are placed at
the heart of expatriation management as a crucial aspect of talent
management (Cerdin & Le Pargneux, 2009). This view assists in
ensuring that the different stages of an expatriation, before, during
and after, are closely integrated with one another and helps toward
better integration of international work experiences with the rest
of the employees work experiences. Repatriation failures concern
the typical loss of between a quarter and a third of employees from
the rm (Black & Gregeresen, 1999; Suutari & Brewster, 2000,
2003). Survey reports such as the Brookeld Global Relocation
Trends (2012) still indicate that retention of international
employees is a problem, both during the international assignment,
247
248
A talent-management approach to expatriation and international experience goes beyond the few employees who have been
identied as potential top managers, and beyond those selected as
traditional expatriates, to integrate all those who might have
international experience, with the aim of developing their careers,
their value to the organization, and their retention. It may also
include those who might not leave their home country, but will
come into contact with members of foreign cultures in the course
of their work.
4. Toward global talent management
On the basis of the discussion so far, the concept of global talent
management captures the combination of the talent segmentation approach of talent management and the broader human
resource management policies that contribute to the management of all talented employees, especially when they go abroad
(Tarique & Schuler, 2013). Despite the popularity of the term,
there is no consensus on what global talent management
encompasses. Table 1 presents the leading denitions of global
talent management found in the recent literature on talent
management.
We derived our denition of global talent management from a
matrix crossing talent management and expatriation management (see Fig. 2) and we use that to develop future research
propositions.
In Fig. 2, talent management is examined through its two main
approaches, talent segmentation and broader HRM. Expatriation
management also consists of two approaches, one that is shortterm and one that is more strategic. Global talent management can
occur through either of the two upper quadrants, high-potentials
development and global-careers development. The lower half is
made up of two quadrants, named for the purpose of this research
as specic-package design and global compensation & benets
management. These two quadrants do not belong to global talent
Table 1
Leading denitions of global talent management (GTM).
Source
Denition
. . .the strategic integration of resourcing and development at the international level which
involves the proactive identication and development and strategic deployment of highperforming and high-potential strategic employees on a global scale.
Broadly dened, global talent management involves the systematic identication of key positions
which differentially contribute to the organizations sustainable competitive advantage on a global
scale, the development of a talent pool of high potential and high performing incumbents to ll
these roles which reects the global scope of the MNE, and the development of a differentiated
human resource architecture to facilitate lling these positions with the best available incumbent
and to ensure their continued commitment to the organization.
Global talent management (GTM) has been dened in broad terms as an organizations efforts to
attract, select, develop and retain key talented employees on a global scale
Global talent management includes all organizational activities for the purpose of attracting,
selecting, developing, and retaining the best employees in the most strategic roles (those roles
necessary to achieve organizational strategic priorities) on a global scale. Global talent management
takes into account the differences in both organizations global strategic priorities as well as the
differences across national contexts for how talent should be managed in the countries where they
operate.
Dened most broadly, global talent management is about systematically utilizing IHRM activities
(complementary HRM policies and policies) to attract, develop, and retain individuals with high
levels of human capital (e.g., competency, personality, motivation) consistent with the strategic
directions of the multinational enterprise in a dynamic, highly competitive, and global
environment.
Global Talent Management is centered on the development of employees, and it includes both
High-Potentials Development and Global-Careers Development.
High-Potentials Development is dened as the combination of a segmentation approach to talent
management that relies on the development of high potentials and a strategic approach to
expatriation management.
Global-Careers Development implies the development of a career system within the organization,
open to all employees, and integrating international work experiences as a step in the overall
careers of individuals.
This article
249
250
251
ments and support packages, and may well imply a different mix of
short-term nancial arrangements and long-term career commitments. It will need to be tested in each organization as whether
that would increase or reduce costs, and what the effects on
organizational performance (short- and long-term) would be. At
present talent management and global talent management seem
to be buzz words for organizations, but they are more often talked
about than acted upon.
This article proposes a denition of global talent management
that involves a combination of expatriation management and
talent management within a strategic approach to human resource
management.
Global talent management concerns not only MNCs, but
also other types or organizations such as Inter-Governmental
Organizations and Non-Governmental Organizations. Beyond
organizations, countries and capital cities also endeavor to
attract talent (e.g. Dickmann & Mills, 2010; Haslberger & Zehetner,
2008). Whatever the level of investigation, organizations and/or
cities, global talent management, as dened in this article, with its
two complementary dimensions, high-potentials development
and global-careers development, reconcile two important research
elds, expatriation management and talent management.
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